March 8, 2002
'39' STATE GOVERNMENTS URGED TO PAY SUGARCANE DUES Shri Shanta Kumar, Minister of Consumer Affairs, Food and Public Distribution has urged the State Governments to expedite payment of sugarcane price dues to be paid by mills to farmers during the current crushing season on a priority basis. As per the Sugarcane (Control) Order, 1966, payment of cane price by sugar mills to the farmers is to be made within 14 days from the date of cane delivery, failing which an interest at the rate of 15 per cent per annum is required to be paid for delays beyond this period.The responsibility of ensuring timely payments of cane price dues by sugar mills lies with the State Governments which have the necessary powers and field agencies to enforce such payments. With a view to effectively enforcing the payment of cane price to the farmers, the Sugarcane (Control) Order, 1966 was amended in November, 2000 providing the powers to the Central Government and the concerned State Governments for recovery of sugarcane price arrears including interest due on it for delay in payments beyond 14 days of supply of sugarcane as arrears of land revenue.